Nordec reached excellent results during its first year of operation
Nordec celebrates its first year of operation since the merger of the two companies in May 2020. Even though the year was quite challenging because of the Covid-19, Nordec managed to reach excellent results. The turnover of Nordec Group was over 191 million euros and operational EBITDA was some 11,3 million euros in 2020.
“I want to thank all our employees at Nordec who have worked hard and enabled these great results. We have successfully managed to combine two companies and brands into one company. Our employees have adapted to many new ways of working not only due to Covid-19 but also because of combining two business cultures together into one effective team,” states Kalle Luoto, CEO of Nordec.
Merger enables synergies
Nordec has been able to obtain synergies, first of all, by combining the operations, knowledge and long experience of Normek and Ruukki Building Systems and secondly, by becoming a part of the international Donges Group. Cooperation within the Donges Group has made it possible to serve all customers even better by widening the product portfolio and enabling cross selling in joint projects around Europe.
The processes in the five production facilities have also been streamlined so that each factory specializes in selected product groups. That has clarified the roles and processes in the whole production network. As part of the merger, Nordec also agreed to sell the production facility in Oulu. The sale of the production facility was finalized on 30th of April 2021. The segment-based organization structure has also brought synergies and enabled consolidation of the strong expertise for similar projects in each business area.
Significant projects ongoing
Nordec has had a very good start also for this year. There are many significant projects ongoing. Nordec has been strengthening the foothold in the logistics and warehouse construction sector, especially in Sweden. There are many large-scale projects ongoing such as the warehouse for Axfood in Bålsta, which is the biggest warehouse being built in the Nordic countries. Nordec is also the frame contactor in the big construction project of the distribution center for Coop Sweden.
The construction market looks very promising also in Finland. Because of the large range of products and solutions, Nordec has been able to gain extensive projects which demand expertise both in frame structures as well as in façade and roof structures. The new living city district of Oops Espoo is one good example of such a large-scale project being managed by Nordec this year.
More sustainable tomorrow
Sustainability and taking green values into account in all operations, is becoming more and more important in the construction projects in Europe. Nordec is investing in finding the best ways to minimize the carbon footprint not only in all the projects, but also in all operations. As one concrete step forward, Nordec has moved on to using renewable energy sources for the electricity in all five production facilities this year. The target is to find smart solutions to minimize the carbon footprint of each product and to increase the amount of recycled steel to be used in the coming projects.
“It has been a very good and eventful first year for us. We are on a good track. I am very delighted to see, how well the Nordec team has developed together. We will continue working in close cooperation with our customers to enable the best solutions for a more sustainable tomorrow,” states Kalle Luoto with confidence.
Kalle Luoto, CEO Nordec Group